Chip-making capacity, demand up

LONDON: The chip-making capacity as well as demand are going up around the world – keeping capacity utilisation above 90 per cent in many leading-edge sectors.

According to the Semiconductor International Capacity Statistics (SICAS) organisation, global utilisation of wafer fab capacity reached 89.4 per cent in the fourth quarter of 2009 – up from 86.5per cent in the third quarter.

SICAS gathers production statistics from around the world for the benefit of the industry.

The organisation said that, however, production is split between older processes and 200-mm wafer production, where capacity utilisation stays around 80 per cent, and leading-edge CMOS production (below about 160-nm design rules), and production on 300-mm diameter wafers, where capacity utilisation exceeds 90 per cent.

Since foundries brought on capacity in the fourth quarter, wafer starts nearly doubled (up 90 per cent) compared to one year ago. Capacity utilisation in the fourth quarter dropped to 91.0 per cent from 91.9 per cent in the third quarter.

Manufacturing on 300-mm wafers hit 96.7 per cent capacity utilisation – up from 96.1 per cent in the second quarter, because of a relatively modest rise in production capacity. But, production on 200-mm wafers went up to 82.4 per cent from 80.2 per cent as manufacturing capacity declined.

Between 80-nm and 60-nm, utilisation was 91.4 per cent of capacity in the fourth quarter – down from 95.7 per cent in the third quarter, and capacity utilisation below 60-nm was at 96.3 per cent - up from 93.5 per cent of capacity in the third quarter.